The Following Terms Appeared on an Invoice Dated May 20

question 201

Multiple Choice

The following terms appeared on an invoice dated May 20 which was sent by a manufacturer to a retail store: 2/10, net 30. The amount of the invoice was $2,000. Assuming the retailer paid the invoice on June 1 (10 days after the products were delivered) , how much should he have paid?

• A) $1,900
• B) $1,800
• C) $2,000
• D) $1,960
• E) $2,040

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